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Zephyr Marin Real Estate Insights

By Margaret Kapranos

Real Estate Agent with Berkshire Hathaway Home Services CalBRE#01383378

September 21, 2017 10:39 AM

Zephyr Market Update

Marin » September 2017

The Real Estate Update

Marin Single-Family Home

From late 2016 to mid 2017, the median sales price (MSP) of single-family homes has steadily increased in the Marin market. While the market seemed to be leveling out in June, August could be the beginning of yet another upward trend. Since August of 2015, the MSP for single-family homes has increased by a whopping 17.4%. This increase is fueled by decreasing inventory and increasing demand. In fact, new sales exceed new listings by 4.84% in August. It is no surprise, then, that the months supply of inventory has dropped to 1.3. In other words, if no more properties were listed, as of today, the entire remaining stock of inventory would be sold out in 1.3 months.

There is one odd statistic to note: despite meager inventory, the percent of list price received for single-family homes has dropped to 100.9%. While we would expect properties to be selling for dramatically over the asking price in this climate, buyers are still paying relatively close to asking much of the time.

	SFH Med. Sales Price $1,215,000
	SFH Avg. Days on Mkt. 55
	SFH Mo. Supply of Inv. 1.5
	SFH % List Price Rec'd 96.98%

Median Sales Price: Single Family Homes (SFH) vs. Condos

% Original Price Received: SFH

% Original Price Received: Condos

Marin Condominiums

While condos show similar MSP increase to their single-family counterparts, prices tend to vary less on a month to month basis. August was an impressive month for condos. The number of new sales exceeded new listings by 26.53%. This translates to an even lower month’s supply of inventory for condos than for single family homes. Were everyone to stop listing condos today, Marin would be fresh out in less than a month.

The percent of list price received is another area in which condos vary from single-family homes. Due to lack of inventory, condos are selling for 103.2% of list price (up 50% from two years ago and even more if we look only at 2016).

The Moral of the Story

Declining inventory and consistent demand are unlikely to change. The Bay area economy remains strong, drawing in prospective buyers. Meanwhile, development lags, which means those buyers are all vying for a limited supply of homes.